Museveni warns media over Aya project

By Fortunate Ahimbisibwe

PRESIDENT Yoweri Museveni yesterday warned the media against sabotaging investment by maligning investors.

Speaking at the construction site of the Kampala Hilton Hotel at Nakasero in Kampala, Museveni said the Government would discipline newspapers which undermine investors through negative reports.

“I have been patient for a long time. I will sort them out if they continue. I have heard that Aya Group is being maligned by some newspapers which are pushing illiterate interests,” said Museveni. He said he visited the site to “give moral support to the group”, the owners of the hotel.

Museveni said the Government had faith that the group would complete the five-star hotel now under construction.

“I gave them land after they passed a litmus test. I know that they will build a hotel in spite of so many interruptions,” he said.

The Government in 2006 granted Aya Group a 15-acre land in Nakasero, where the offices of the former Uganda Television (UTV), now the Uganda Broadcasting Corporation, were located. The $100m luxurious facility is expected to have 22 floors.

Museveni also warned lawyers, who charge excessive fees, saying their acts would scare away investors and lead to unemployment.

Aya and city lawyer Muzamiru Kibedi have clashed over payment of $2.5m (about sh5b) in legal fees. The lawyer helped the investors secure a $41.5m (about sh70.5trillion) loan from the Industrial Development Corporation, a South African finance company, to complete the hotel.

Following disagreements, Kibedi last month secured a court order to sell Aya’s property. Aya in turn secured a court injunction against the attachment.

In a reaction, Museveni said: “The NRM will also discuss how to deal with greedy groups such as lawyers who harass investors.”

Aya’s work, he said, was for the good of Uganda. “They will employ 2,000 Ugandans,” he argued. “If you attack them, then you are attacking our jobs.”

Dictator Idi Amin was killing Ugandans and we fought him. Now it’s the media which is killing jobs. We are going to do something about it.”

Museveni advised the developers to ignore the media, which he described as liars. “I ask you to continue doing your good job and you will have our full support,” he said.

Although there is considerable progress at the site, there has been concern that the project has delayed. The developer had initially said the hotel would be ready for the November 2007 Commonwealth Heads of Government Meeting, but failed to deliver.

Construction work has reached the sixth floor after the investors overcame serious financial constraints which had attracted media attention.

Aya chairman Hamid Mohammed told the President that negative media coverage had almost blocked the financing of the project. He, however, said although there was some delay, the group was committed to deliver quality work.

“We are not going to do things in a rush. We shall take our time but at the end of the day, we shall have a five- star hotel,” he said.

Officials from Hilton International and IDC were present at the ceremony.

“We are here to witness the progress on the site,” said Victor Rodregos, the vice president of Hilton International.